35020_Cov 8/31/06 8:07 AM Page 1 2005 Annual Report NATIONAL ACADEMY OF ENGINEERING ENGINEERING THE FUTURE NATIONAL ACADEMY OF ENGINEERING 2101 Constitution Avenue, NW Washington, DC 20418 www.nae.edu 35020_Cov 8/31/06 8:07 AM Page 2 1 Letter from the President 3 In Service to the Nation 3 Mission Statement 4 Program Reports 4 Engineering Education 5 Center for the Advancement of Scholarship on Engineering Education 5 Technological Literacy 6 Public Understanding of Engineering 7 Engineering Ethics 8 Diversity in the Engineering Workforce 10 Frontiers of Engineering 12 Engineering and the Health Care System 13 Technology for a Quieter America 14 User-Authorized Handgun Technology 15 China/U.S. Energy-Air Pollution Study 16 Countering a Terrorist Attack on the U.S. Electrical Transmission and Distribution System 17 Engineering Research and America’s Future: Meeting the Challenges of a Global Economy 17 Gathering Storm Gains Momentum 20 2005 NAE Awards Recipients 22 2005 New Members and Foreign Associates 24 2005 Private Contributions 24 Einstein Society 24 Golden Bridge Society 25 Catalyst Society 25 Rosette Society 25 Challenge Society 26 Charter Society 27 Other Individual Donors 29 Heritage Society 30 Presidents’ Circle 30 Corporations, Foundations, and Other Organizations 31 National Academy of Engineering Fund Financial Report 33 Report of Independent Certified Public Accountants 37 Notes to Financial Statements 44 Officers 44 Councillors 45 Staff 45 NAE Publications 35020_TEXT_AA2 8/31/06 8:26 AM Page 1 Letter from the President The enormous prosperity of the United States is due in no small measure to the innovative contributions of engineers. However, in the process of developing the very technologies that have made us prosperous, we have enabled others to compete with us on a more level playing field. In general, this is a good thing, because a rising tide lifts all ships, and a more prosperous world will surely be a safer world. But the strategies that helped us get to the top are not the ones that will lead to greater security, pros- perity, and health in the future. As difficult and uncomfortable as change may be, we must change the things we can control or Wm. A.Wulf influence—and we must begin now, before it is too late. In a world where widespread advanced knowledge and readily available low- cost labor are undermining U.S. advantages in the marketplace and eroding U.S. leadership in science and technology, we urgently need a comprehensive, coordinated federal effort to bolster our competitiveness and preeminence. Two reports produced in 2005, Rising Above the Gathering Storm: Energizing and Employing America for a Brighter Economic Future and Engineering Research and America’s Future: Meeting the Challenges of a Global Economy, focus on what we as a nation must do to prosper in the globalized, competitive 21st century. Both reports have already gained some “traction” in Congress and the executive branch. The congressionally requested NRC report, Rising Above the Gathering Storm, makes four recommendations and identifies 20 implementation actions for fed- eral policy makers that will lead to the creation of high-quality jobs and focus science and technology efforts on meeting the nation’s needs, especially in the area of clean, affordable energy. The report recommends: (1) increasing the U.S. talent pool by vastly improving K–12 mathematics and science education; (2) strengthening the commitment to long-term basic research; (3) developing, recruiting, and retaining top students, scientists, and engineers from the U.S. and abroad; and (4) ensuring that the United States is the premier place in the world for innovation. Implementing some of these actions will require changing existing laws. All of them will require financial support that could be made available by reallocating existing budgets and increasing them, when necessary. 1 35020_TEXT_AA2 8/31/06 8:26 AM Page 2 Engineering Research and America’s Future, an NAE report, describes the critical role of engineering research in maintaining U.S. technological leadership, docu- ments major challenges and opportunities facing the U.S. engineering research enterprise, and offers specific recommendations for leaders in federal and state gov- ernment, industry, and universities for strengthening U.S. engineering research in the face of intensifying global competition. A joint study by NAE and the Institute of Medicine, Building a Better Delivery System: A New Engineering/Health Care Partnership, includes findings and recom- mendations for building a strong partnership between engineers and health care professionals to address the crises facing the health care delivery system in the United States. The report also includes an extended discussion of how systems engineering tools might be used to improve the quality of care and the efficiency of care delivery. Another NAE report, The Engineer of 2020: Adapting Engineering Education to the New Century, provides recommendations for engineering educators, employers, professional societies, and government agencies engaged in reengineering the “sys- tem of systems”—engineering education. Engineers of the future must be educated to perform in a multicultural, multiethnic, global environment. In 2005, the Grainger Challenge Prize for Sustainable Development was established to encourage the development of a small-scale, inexpensive system for removing arsenic from contaminated groundwater, a problem that affects tens of millions of people, especially in developing countries. The purpose of the prize is ultimately to make a material difference in achieving a sustainable future for people everywhere. The Grainger Challenge Prize will be awarded in 2007. The projects I have cited here represent just a sampling of the work done by NAE in 2005. The following pages will provide more insight into the broad scope of our activities. We remain committed to promoting the technological welfare of the nation and grateful for the support of our members and friends, whose generous financial contributions make it possible for NAE to continue making meaningful contributions to the well-being of the nation. Thank you. Wm. A. Wulf President 2 NAE 35020_TEXT_AA2 8/31/06 8:26 AM Page 3 In Service to the Nation Every day our nation faces questions related to engineering and technology. How can we keep our nation safe from terrorism? How can we increase diversity in the engineering workforce? What role should citizens play in decisions about tech- nology development? How can we help journalists and others in the media pro- vide accurate, timely engineering and technology information? Answering these questions is becoming increasingly difficult as we advance technologically and become more involved in the global community. Since 1964, the National Academy of Engineering (NAE) has provided independ- ent, objective advice to the nation on engineering-related topics and policies. NAE operates under the same congressional act of incorporation that established the National Academy of Sciences, signed in 1863 by President Abraham Lincoln. Under this charter, NAE is directed “whenever called upon by any department or agency of the government, to investigate, examine, experiment, and report upon any subject of science or art.” NAE has more than 2,000 peer-elected members and foreign associates, approxi- mately 47 percent from academia, 45 percent from industry, and 8 percent from nonprofit institutions and government. NAE members are drawn from bioengi- neering, computer science, aerospace, civil engineering, industrial engineering, and mechanical engineering. They serve as members of research and study com- mittees, plan and conduct symposia and workshops, and assist in the work of the organization in many other ways. Areas of focus include working collaboratively at home and abroad to identify and solve technological problems, assessing the technological needs of the nation and sponsoring programs to meet those needs, advising Congress and government agencies on engineering-related matters of national importance, and recognizing and honoring outstanding engineers for their contributions to the well-being of the nation and the world. NAE not only responds to requests from government, but also sponsors activities with foundations, industry, and state and local governments and funds projects through endowment funds supported by private contributions. Thus, NAE is a unique organization that brings together distinguished engineers for the purpose of improving the lives of people everywhere. NAE is a member of the National Academies, which also include the National Academy of Sciences, Institute of Medicine, and National Research Council. Mission Statement To promote the technological welfare of the nation by marshalling the knowledge and insights of eminent members of the engineering profession. 3 2005 35020_TEXT_AA2 8/31/06 8:26 AM Page 4 PROGRAM REPORTS Engineering Education The Committee on Engineering Education (CEE), a standing committee of the National Academy of Engineering Office of the President, is a select group of thought leaders and experts from the business, academic, and public sectors with a demonstrated commit- ment to the advancement of engineering education. The mission of CEE is to provide guidance and advice to policy makers, administrators, employers, and others to ensure quality, diversity, and quantity in engineering education. The CEE was chaired by Stephen Director (NAE) of Drexel University until July, 2005 and by Michael Corradini